Justice-owned companies make deal with feds on late payments
Trending
CHARLESTON - Companies owned by Gov. Jim Justice have made a deal with federal officials to catch up on the payments owed from a 2020 settlement on mine safety fines.
According to a joint status report filed Monday in the U.S District Court for the Western District of Virginia, 23 Justice-owned companies have reached an agreement with the U.S. Attorney's Office in Roanoke to resume making payments in a 2020 settlement, plus an additional $51,221 per week beginning in August for 10 weeks to pay more than $409,000 on overdue payments.
"Based on that agreement, defendants shall pay the August, September and October payments on time, and beginning in August make weekly payments of $51,221 for a period of 10 weeks to pay the past due balance. All payments shall be made timely," according to the status report.
On June 20, West Virginia's 160th birthday, Chief Judge Michael F. Urbanski issued an order giving Justice's companies 10 days to make more than $409,000 in overdue payments as part of a 2020 agreement, according to court filings. The companies had missed February, March, April and May payments and then missed June, bringing the past due total to more than $512,000, though the companies did make their July payment.
"Due to financial difficulties, the defendants have been unable to make certain payments on time and have missed payments," according to the status report. "The United States moved to compel compliance and the court entered an order requiring the defendants to make payments under the terms of the consent judgment."
The U.S. Attorney's Office and the U.S. Mine Safety and Health Administration brought a lawsuit against 23 Justice-owned companies in 2019 seeking millions in unpaid mine safety penalties. According to the 2020 settlement, the companies made a one-time payment of $212,909.44 and agreed to pay $102,442 per month by the first of every month until the $5.1 million is paid in full.
Last year, the U.S. Attorney's Office filed a motion to compel payment after a payment was missed in March 2022. Justice's companies avoided a judicial order and paid the past-due amount. More than $2.5 million has been paid to the federal government, covering nearly half of the settlement total.
This is the second case brought against Justice-owned companies seeking mine safety penalties and fines. A new civil case filed in the Western District of Virginia by the Department of Justice in May is seeking $7.6 million in civil penalties and unpaid abandoned mine lands fees by 13 Justice-owned companies and Justice's son Jay on behalf of the Office of Surface Mining Reclamation and Enforcement.
Since the beginning of the year, Justice and his companies have faced banks seeking hundreds of millions in payments for loans personally secured by the governor, First Lady Cathy Justice and his children who run the Justice's businesses day-to-day. Another bank has sought garnishment of Justice's state salary as governor.
Justice's attorneys are fighting to avoid turning over personal and business financial records in another case in federal court brought by a vendor. A federal judge in that case ruled in June that Justice and his companies must comply with discovery requests to provide relevant financial documents.
According to his most recent financial disclosure report with the West Virginia Ethics Commission, Justice lists 111 companies he owns, seven of which are in blind trusts. Justice's son Jay manages the coal and agricultural businesses while daughter Jill manages the hospitality businesses and the historic Greenbrier Resort in White Sulphur Springs.
Justice, who announced as a Republican candidate for the U.S. Senate at the end of April, was granted a 90-day extension to file his required financial disclosure report with the Senate, pushing Justice's financial disclosure report deadline to Aug. 24. The Democratic Senatorial Campaign Committee launched a website, WhatIsJimJusticeHiding.com, aimed at chronicling these issues.
"Jim Justice's missing schedule and financial scandals are taking center stage in West Virginia Republicans' nasty, messy, expensive intraparty fight," said Amanda Sherman Baity, a spokesperson for the Senatorial Campaign Committee. "As this primary intensifies, Justice won't be able to hide from the looming questions that are being raised about his absence on the job, his shady finances and his growing mountain of scandals."